Sahara Group signs 20-yr LNG supply deal with Amigo LNG
Sahara Group has signed a landmark 20-year LNG Sales and Purchase Agreement (SPA) with Amigo LNG S.A. de C.V., the Mexican subsidiary of Singapore-based LNG Alliance, to enhance global efforts aimed at driving seamless energy access and security.
Under the terms of the agreement, Sahara Group will purchase 0.6 MTPA of LNG from Amigo LNG’s export terminal in Guaymas, Sonora, Mexico.
“Sahara Group is proud to partner with Amigo LNG in this transformative venture,” said Wale Ajibade, Executive Director at Sahara Group. “This agreement aligns perfectly with our goal to increase access to reliable and affordable energy, particularly in underserved regions. LNG is a critical enabler of energy security and economic growth, and we look forward to supporting a cleaner energy future together.”
Speaking at the execution ceremony, Kola Motajo, Director, Sahara Group, said the energy conglomerate will explore similar opportunities in pursuit of its commitment to making a difference in advancing the energy value chain. “It is imperative that all stakeholders explore several collaborative avenues to enhance energy access. Sahara Group is unwavering in its dedication to promote sustainable development through investments and partnerships that will help accelerate energy security across the globe,” he said.
This long-term partnership represents a major milestone in the ongoing global transition to cleaner energy. The agreement secures a reliable LNG supply from Mexico’s West Coast, strategically positioned for efficient delivery to fast-growing markets across the Asia-Pacific and Latin America. LNG deliveries are set to begin in the third quarter of 2028.
“This agreement with Sahara Group reflects our shared commitment to accelerating the global shift toward cleaner, more sustainable energy,” said Muthu Chezhian, CEO of LNG Alliance. “As one of the first large-scale LNG export projects on Mexico’s west coast, Amigo LNG will not only help meet rising energy demand in key global markets but also serve as a catalyst for economic development and regional energy integration.”
Sahara Group’s offtake from Amigo LNG is expected to play a critical role in enhancing energy security for Asia over the next decade. As the region navigates increasing energy demand, supply diversification challenges, and efforts to reduce coal dependency, Amigo LNG provides a stable, geopolitically neutral, and cost-competitive supply route.
Amigo LNG’s 7.8 MTPA export facility comprises of two trains of 3.9 MTPA each and is currently under development in close cooperation with the State of Sonora and Secretaría de Marina, Mexico. Strategically located near the Port of Guaymas, the project plays a central role in Plan Sonora—Mexico’s national initiative to promote near-shoring, maritime decarbonization, and trans-Pacific energy connectivity.
Related News
- Carbon Clean announces successful test of CycloneCC C1 technology at commercial scale
- ArcLight acquires interest in Natural Gas Pipeline Company of America, one of the largest natural gas infrastructure assets in North America
- Aemetis Biogas signs $27-MM agreement with Centuri to build gas cleanup systems for 15 dairy digesters
- Australia's Woodside says Saudi Aramco might buy into its Louisiana LNG project
- Glencore to offtake 2 MMtpy of LNG from Commonwealth LNG's export facility in Cameron Parish, Louisiana
- Hexagon Agility reaches milestone with additional orders for natural gas fuel systems for Cummins X15N powered trucks
Related News
- Three killed, two injured in accident at LNG construction site in Texas (U.S.)
- Update: How Germany is building up LNG import terminals
- IEEFA: Europe’s LNG imports decline 19% with gas demand at 11-yr low
- TotalEnergies and partners launch the 2nd phase of Northern Lights CCS project
- Digital Exclusive: The value of experience—Why expertise matters in compressor overhauls and revamps
Comments